Top 5 Ways to Successfully Find Below-Market-Value Property

In the world of real estate investment, the allure of discovering properties that stand significantly below their market value is akin to finding hidden treasures.

Below-market-value properties, as the name suggests, are those rare gems that can be acquired for a price substantially lower than their fair market worth. These opportunities hold immense appeal for property investors, offering the potential for substantial returns on investment. 

In this article, we delve into five strategic approaches to unearth these prized properties in the unique landscape of Ireland’s real estate market. From forging strong relationships with estate agents to seeking off-market deals and identifying distressed sellers. Each method serves as a valuable key, suited for distinct circumstances. 



5 Ways to Find Below-Market Value Property in Ireland


Rapport with Estate Agents 

Building and nurturing strong relationships with local estate agents is a vital strategy for investors seeking below-market-value properties in Ireland. By fostering rapport with these professionals, investors position themselves as the top-of-mind when agents encounter properties matching their criteria.

In addition to securing a prominent place in estate agents’ minds, it is equally important to cultivate a positive reputation among them. Estate agents frequently encounter potential buyers who express strong interest but fail to follow through with actual offers, which can be frustrating. To stand out in the eyes of estate agents, aim to establish a reputation as a serious and reliable investor. This involves not just expressing interest but also making reasonable offers for properties that align with your investment criteria.

When estate agents witness your commitment, word spreads within their professional network. They recognize you as an investor who not only talks the talk but also walks the walk. This reputation makes you the go-to choice when they come across excellent below-market value opportunities.



Pre-Auction Offers

Auctions have over the years become hotbeds of competition, teeming with investors all vying for the same few enticing opportunities.

With the secret now well-known to many, the solution now lies in pre-auction offers, a practice increasingly permitted by auction houses. Savvy investors, well-versed in this art, take the initiative to view the property in advance and submit a well-considered, yet enticing offer. One that still sits comfortably below the property’s market value. 

Provided the auction house perceives the offer as solid, it may find reason to accept it. This gives the buyer a coveted advantage by bypassing the chaos and competition typically associated with the auction floors.


Off-Market Deals

Off-market properties are those elusive treasures quietly available for sale without public advertising. Sellers, in particular, find this approach advantageous as it circumvents the expenses associated with listing or auction fees, enhancing their cost efficiency. 

Furthermore, off-market sales typically offer sellers the allure of swifter transaction completions compared to the more protracted processes associated with on-market sales.

A common approach employed by investors to unearth off-market deals involves the meticulous identification of a substantial pool of residential or commercial properties believed to be owned by individuals keen on selling. The investor then initiates contact by composing letters expressing genuine interest in acquiring these properties, dispatches them to the owners, and then awaits positive responses. 

Alternatively, when dealing with properties clustered in a particular area, the investor may opt for a more localized strategy such as crafting and distributing leaflets bearing the same compelling message.

Within this proactive outreach, an investor may come across a motivated seller eager to facilitate a prompt transaction. Subsequent negotiations often pave the way for the acquisition of a property at a price that falls below the prevailing market value, therefore presenting investors with a unique opportunity to secure a lucrative investment



Distressed Sellers

Another effective strategy employed to secure below-market-value property involves identifying distressed sellers who, for various reasons, are motivated to sell their properties swiftly. These sellers are often open to offers below the property’s market value, prompted by the necessity for a quick sale. 

It is crucial to emphasize that the term ‘distressed’ carries no negative connotation in this context. Instead, it acknowledges that certain life circumstances may require expedited property sales, making this strategy a mutually beneficial approach for both buyer and seller.

Given the protracted processing times often associated with mortgages or traditional loan facilities, what sets this strategy apart is the critical role of liquidity. Buyers must have cash readily available to facilitate a full and immediate payment. By capitalizing on the seller’s urgency and having the financial means to close the deal promptly, investors can seize unique opportunities to acquire properties below market value.


Where to find distressed sellers

Finding distressed sellers demands a strategic approach, and several avenues can lead to their identification.

  • Firstly, monitoring foreclosure listings and public notices is an effective method, as these properties are frequently sold under time-sensitive circumstances. 
  • Secondly, staying connected with solicitors and legal experts who are familiar with estates undergoing probate can provide opportunities, as heirs may be inclined to pursue swift sales. 
  • Likewise, legal professionals handling divorce cases can be a valuable resource, as such situations often involve property sales when both parties are eager to move forward quickly.



Defective Title Properties

A defective title property is one marred by flaws or legal issues within its title deed, rendering it unable to provide the same level of legal rights and security as a non-defective title property. These title deficiencies often necessitate intricate and time-consuming official processes to rectify, a prospect that would discourage most potential buyers. 

Several common scenarios can render a property’s title defective. The first is the loss of the original deed, requiring a replacement. Secondly, inaccuracies in the listed names on the title may necessitate the inclusion or exclusion of certain parties to establish a clear ownership record. A third instance is where there are disputes over the property’s ownership often stemming from inheritance conflicts or conflicting wills. 

Financial burdens like unpaid debts and tax obligations can also encumber the property, casting a shadow on its marketability. In each of these cases, the property’s title is compromised, and while rectifiable, these issues are typically perceived as deterrents for everyday buyers. 

However, for astute property investors armed with a precise understanding of the title’s issues and the confidence to navigate the corrective procedures, this can be a golden opportunity. They purchase the property at a price below the market value from a seller who is aware of the inherent risks involved and motivated to accept lower offers since few conventional buyers would be willing to shoulder the uncertainties and complexities.


Final Thoughts

Below-market value investment opportunities are not easily stumbled upon. While a stroke of luck may lead you to one from time to time, this is a road best traveled with strategic precision; particularly for property investors who make this a cornerstone of their business strategy.

Liquidity plays a pivotal role in an investor’s success. More often than not, they must have cash readily available to swiftly seize golden opportunities as they arise. This is where relationships with property and bridging finance lenders, such as Novellus, come into play.

These financial partners ensure that investors have the necessary funds at their disposal, allowing them to secure a deal within a matter of days. In an industry where timing can make all the difference, these strategic partnerships become the linchpin of a property investor’s success. 


Unlock Your Property Investment Potential with Novellus

Are you ready to turn your property investment dreams into reality? At Novellus, we specialise in helping investors like you secure the financing you need, from €500k and above, to make the most of your investment opportunities. 

Our experienced team is here to support you every step of the way. Ready to get started? Contact us today to learn how Novellus can help you continue your property investment journey. Simply fill out the quick inquiry form below or give us a call. We can work with you on property investment opportunities across the Irish property market.